MUMBAI, May 12 - Comex Gold Trading futures fell almost 1 percent on Friday as fears over a worsening European debt crisis and sharp losses in equities and commodities sent the precious metal to its biggest weekly decline this year. The metal came under heavy pressure as disclosures of huge trading losses at JPMorgan Chase & Co, a major bullion trader, dented sentiment among gold investors. Sharp losses in crude oil and copper also offset surprisingly robust U.S. consumer confidence data.
Political uncertainty in Greece and a change of leadership in France this week had investors doubting whether Europe would
come through with the billions of euros needed to bail out its troubled economies. Spanish bank worries also added to debt
For the week, gold notched a 3.7 percent loss, the worst performance since the week of Dec. 18 last year when it tumbled
nearly 7 percent. We continue to feel the Gold would stay weaker near term for the next couple of weeks. Do keep checking the site as we signal an Gold Intermediate bottom in prices.
Gold Technical View : We have made things simpler for readers, we have incorporated a indicator overlaid in prices which gives the common investor the over all trend of the commodity at a glance.
On the price chart ,we have given the Cylcle strenght indicator for GOLD , Silver, Crude, Euro and Dow – and the way to interpret is as long as the indicator values is above 0% – a bullish ( strength) signal and below 0% reading indicated a bearish ( getting weaker) signal.
As you see the Gold has given a sell signals recently and the rally this week is muted. ( see previous posts and latest post here Gold Trading
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